DM Bearish Trend / Momentum Swing Strategy

Step 1: Find a trend

Only trade when:

The 50 MA is below the 200 MA
Price is below the 50 MA

If this is not true → Don’t trade

Step 2: Wait for a breakdown

Look at your chart and your indicator:

You will see a support line (from the lowest lows).

You enter only when a candle CLOSES below that line.

Not when it touches.
Not when it goes under and comes back.
Only when the candle closes below it.

Step 3: When do you actually click Sell?

You do it like this:

✔ Candle closes below the breakdown level
✔ A new candle starts
You enter a SHORT / SELL at the start of the new candle.

Step 4: Place your stop loss

You already have this on your chart.

Your script uses:

Stop Loss = ATR × 3


And since you are short:
👉 The stop is above your entry price

Just place your stop at the red line on your chart.

Step 5: Exit the trade

You exit when:

Price closes above the 20 MA

That’s your exit signal.

Or
Your stop loss gets hit.

Very Simple Checklist

Before every trade, ask:

Is 50 MA below 200 MA?
Is price below 50 MA?
Did a candle close below support?

If YES → Place SHORT
If NO → Do nothing

Real Example (Simple)

Let’s say:

You’re trading a large cap stock like Tesla on the Daily.

50 MA is below 200 MA

Price is below 50 MA
A candle closes below recent support

Next candle opens → You SELL (short).

Put stop at the red line (ATR ×3).

Hold until price closes above 20 MA.

Final Advice

Your strategy is:

For trends

For breaking weak stocks

Not for bouncing or guessing bottoms.

Be patient. Wait for clear setups.